The purpose of this report is to seek approval of the internal remodelling of Waverley House, Leominster and to approve the capital budget of up to £400,000 to fund the redesign. The building is currently leased by the council to Shaw Healthcare for a 30 year period from 2004, with Shaw Healthcare also providing the nursing, care and support to the residents.  The intention is to remodel the building to allow for an 11 additional nursing beds to expand capacity to support vulnerable adults in Herefordshire.

That:

(a)  To authorise capital expenditure of up to £400,000 for building remodelling works to the council’s freehold interest in Waverley House, Etnam Street, Leominster;

(b)  To authorise Shaw Healthcare, the current lessee of Waverly House, to procure and manage those works under the supervision of the council; and

(c)  To increase the council’s existing block contract with Shaw Healthcare by an additional 11 nursing bed capacity on practical completion of the works.

1.    The alternative option would be to continue with the current model and number of beds at Waverley House. This is not recommended as the council is experiencing difficulties in sourcing nursing bedded provision in Herefordshire to meet the eligible needs of vulnerable adults and spot purchasing additional nursing beds at Waverley House over the council’s usual rate.  The additional capacity will provide further block purchased beds that can be easily accessed at a substantially lower rate than current placements.

2.    The other alternative option would be to utilise the space and provision within the contract for residential or short term services. This is not recommended as the pressure for capacity in the market is for nursing beds. Using the space for these other purposes would therefore represent poorer value for money than if it was used for nursing beds.